FTR (Failed to Return) Candles Indicator for ThinkorSwim

BenTen

BenTen

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So this candle pattern was recently introduced to me via a weblog called A Teen Trader.



@Korinek_Trades, the trader behind ateentrader.com describe it perfectly.

An FTR or Failed To Return, is a candle pattern in trading. What this pattern shows is that as price is in an up/down trend, price will push back and collect orders (causing a candle close of the opposite direction) before continuing the current trend.
I followed that concept and some of the illustrations on his blog and made a similar indicator for ThinkorSwim.





Before you start trading with the FTR indicator, be sure to read through this blog post so you understand clearly and know where to put your stop loss and profit target.

thinkScript Code

Code:
# Failed to Return Candles
# Inspired by Forex Trading Pattern as Described at https://ateentrader.com/ftr/
# Candles built from the ThinkorSwim's Candlestick Pattern Editor
# Assembled by BenTen at useThinkScript.com

# You are free to use this code for personal use, and make derivative works from it.
# You are NOT GRANTED permission to use this code (or derivative works) for commercial 
# purposes which includes and is not limited to selling, reselling, or packaging with 
# other commercial indicators. Headers and attribution in this code should remain as provided, 
# and any derivative works should extend the existing headers.

# Define Bullish FTR Candle
def IsUp = close > open;
def IsDown = close < open;
plot Bullish_FTR =
    IsUp[4] and
    IsUp[3] and
    IsUp[2] and
    IsDown[1] and
    IsUp[0] and
    high[2] > high[1] and
    close[3] < close[2] and
    open[1] < close[0] and
    low[2] < low[1] and
    open[4] < open[3] and
    close[4] < high[3] and
    open[3] < open[2];

Bullish_FTR.SetPaintingStrategy(PaintingStrategy.BOOLEAN_ARROW_UP);
Bullish_FTR.SetDefaultColor(GetColor(0));

# Define Bearish FTR Candle
plot Bearish_FTR =
    IsDown[4] and
    IsDown[3] and
    IsDown[2] and
    IsUp[1] and
    IsDown[0] and
    close[4] > close[3] and
    open[1] > close[0] and
    close[1] > open[0] and
    open[2] > close[1] and
    open[4] > open[3] and
    open[3] > open[2] and
    close[3] > close[2] and
    close[2] < open[1];

Bearish_FTR.SetPaintingStrategy(PaintingStrategy.BOOLEAN_ARROW_DOWN);
Bearish_FTR.SetDefaultColor(GetColor(0));

# Alerts
Alert(Bullish_FTR, " ", Alert.Bar, Sound.Chimes);
Alert(Bearish_FTR, " ", Alert.Bar, Sound.Bell);

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Last edited:
Shinthus

Shinthus

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I just want to emphasize how important it is to use this on 30min/1hr timeframes rather than short timeframes. This should totally NOT be used for day trading, lol. 5m chart is riddled with false signals.
 
BenTen

BenTen

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@Shinthus I agreed. Good thing you pointed it out. But hey, to each their own. Someone could be making money with this on the 5min, you never know.
 
R

Raundx

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hey @BenTen for some reason i'm not able to get any signal on any timeframe can you double check the script?? thank you
 
BenTen

BenTen

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@Raundx No issue here for me.

 
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